MCX Nickel likely to move in a range of 1106.9-1126.3
Commodity Online | September 17 2020
UPDATED 10:30:00 IST

MCX Mentha Oil likely to move in a range of 952-971.8

MCX Nickel likely to move in a range of 1089.7-1118.5

MCX Cotton under fresh buying; Support seen at 17950

MCX Zinc under long liquidation; Resistance seen at 196.7

MCX Copper under short covering; Resistance seen at 535.3

Technically Nickel market is under long liquidation as market has witnessed drop in open interest by 7.25% to settled at 1266 while prices down 3.8 rupees.

Now MCX Nickel is getting support at 1111.3 and below same could see a test of 1106.9 levels, and resistance is now likely to be seen at 1121, a move above could see prices testing 1126.3.

Nickel yesterday settled down by 0.34% at 1115.8 on expectations the Federal Reserve will maintain its downbeat stance on the US economy as it grapples with the pandemic.

Germany’s ZEW survey of economic conditions, showed that sentiment in Europe’s largest economy significantly exceeded expectations in September. Germany ZEW Economic Sentiment rose to 77.4 in September, up from 71.5, beat expectation of 70.0.

Current Situation rose 15.1 pts to -66.2. Eurozone ZEW Economic Sentiment rose 9.9 pts to 73.9, Current Situation rose 8.9 pts to -80.9. Retail sales in China rose 0.5% in August from a year ago — the first positive report for the year so far — according to the country’s National Bureau of Statistics.

Still, retail sales for the first eight months of the year were down 8.6% from a year ago, the bureau said. Chinese industrial production grew 5.6% in August from a year ago while fixed-asset investment declined 0.3% for the first eight months of the year.

Industrial Production in the United States expanded by 0.4% on a monthly basis in August, the US Federal Reserve reported. China’s refined nickel output declined 2.25% or 330 mt from July, but rose 12.94% from a year earlier, to 14,300 mt in August. Output at Gansu smelters shrank 3.85% on the month, while that at Lianning and Shandong smelters was little changed as they kept normal production.

Trading Ideas:
--Nickel trading range for the day is 1106.9-1126.3.
--Nickel dropped on expectations the Fed will maintain its downbeat stance on the US economy as it grapples with the pandemic.
--Industrial Production in the United States expanded by 0.4% on a monthly basis in August, the US Federal Reserve reported.
--Retail sales in China rose 0.5% in August from a year ago — the first positive report for the year so far.

Courtesy: Kedia Commodities